transformation to cloud-based networking enabled by nfv · 3. professional, high quality service...

Copyright © NTT Communications Corporation. All rights reserved.

Transformation toCLOUD-BASED NETWORKINGEnabled by NFV

Kayo Ito, DirectorNetwork ServicesNTT Communications

10th May, 2016


To Start…

1

• Introductions• Who am I? & Who are you?• (very very) Quick Company Overview

• What am I going to talk about today?• Cloud-Based Networking Enabled by NFV technology• Transformation of Service Provider• Recommendations/Conclusions


Quick Company Facts –NTT Communications

*Source: Standard & Poor’s long term credit rating, asof xxx 2014; US SEC (Edgar), as of xxx 2014

Growth ofNTT familyNTT Public

Corporationlaunched

NTT Communicationslaunched

(now NTT Data Inc.)

(former Integralis)

1953 2008 2010 20112000 2009 20121999 2013 2014

One of world’s top 3telecoms companies bycredit rating andrevenue*

(now NTT Data Inc.)

(now NTT Data Inc.)

(now Dimension Data)

NTT: a leading global network service provider

4

(former Secode)

(former FrontlineSystems Australiaand Harbour MSP

251,000m2

total serverroom area

130 datacentres all over

the world*

1,230+billion JPY

(c. US$12.3 billion)turnoverFY 2013

20,400employeesworldwide

190+countries whereNTT services are

available

123 citiesin 43 countries

with NTTsubsidiaries

or offices

A global communications corporation

6

Located in 123 cities in 43 countries / regions (as of Dec 2014)

More than 21,600 employees dedicated to business services (as of Dec 2014)

Americas<North America>NTT America, Inc.<Latin America>NTT do Brasil Telecomunicacoes Ltda[Group Companies]PC Landing CorporationRagingWire Data CentersVerio, IncVirtela Technology Services Incorporated

Asia/Pacific<South Asia>NTT Com Asia LimitedNTT Korea Co.,Ltd.

恩梯梯通信系統（中国）有限公司(NTT Communications ChinaCo.,Ltd.)台灣恩悌悌股ｲ分有限公司（NTT Taiwan Ltd.）<South-East Asia and Eas Asia>NTT Singapore Pte. Ltd.NTT Communications India Private LimitedNTT Communications (Thailand) Co.,Ltd.NTT Communications （Vietnam） LimitedＮＴＴＭＳＣＳＤＮ. ＢＨＤ.PT. NTT Indonesia

[NTT Com Group Companies]DTSI Group Holdings, Inc.Emerio GlobeSoft Pte. Ltd.Global Data Service Joint Stock CompanyNetmagic Solutions, Inc.NTT Com ICT Solutions (Australia) Pty LtdEuropeNTT EUROPE LTD.NTT Communications Russia LLC[NTT Com Group Copanies]Arkadin International SASAtlas Information Technology,S.A.Gyron Internet LtdNTT Com Security AG

NTT Com oversea affiliates and group companies

7

Global Presence

Global Network Enterprise NetworkArcstar Global IP‐VPNArcstar Global Leased lineArcstar Global Ethernet VPNEthernet Dedicated Internet Access

Carrier ServicesIPv4/ IPv6 TransitVLINK

Data Center •Colocation•Managed Colocations

Hosting / Cloud•Hosting•Dedicated hosting•Private Cloud（GVS)•Public Cloud•Enterprise Cloud•Application Management

UnifiedCommunications

•IP Telephony•Conferencing Solutions•Mobile Workforce•Voicemail and Unified Messaging•Contact Centre Solution

•Firewall / UTM•DDoS Detection and Mitigation•Thin Client•Disaster Recovery•Global Internal Security Control

•Operation•Solution Delivery•Cloud Enablement•Consulting

Office ICT •Managed Switch•Thin Client•Managed Firewall•Managed WAN Accelerator

Professional Services

Security &Risk Management

Products and Services

We offer an extensive suiteof cloud, network andtechnology services andproducts

8


Cloud-based NetworkService (CBNS)Enabled by NFV


A definition of Cloud-based Network Services

With CBNS we are creating network-related services that aredelivered from the enterprise wide area network cloud through a shared

infrastructure, without having to deploy and maintain dedicatedequipment, by taking advantage of SDN and Network Functions

Virtualization (NFV) technologies

8

BranchOffice

Orchestration

Analytics

Controller

Security, Acceleration,Routing, Gateways, etc

SDN/NFV

EnterpriseNetwork


The impactNTT’s survey research with IDC shows

by year-end 2017, service providersthat will have launched trials of SDN/NFV

controlled services

10% have already deployed NFV controlled servicesat least on a local base and 30% are in the testing

phase

80%10%

70%9

Gartner analysts predict“By year-end 2017, virtualized cloud

network services will replace at least

of the installed base of enterprise WAN equipment,up from less than 1% at year-end 2014.”

[Source]Gartner, “Predicts 2015: Enterprise Networking and Network Services”Neil Rickard et al, 4 December 2014

“In a recent Gartner survey, more than

of respondents had already adopted cloud deliveryfor functionality such as DDoS mitigation, email

security and secure Web gateway.”


Things are changing faster than ever…

10

Still growing … Data transmission speed Processor speed Bandwidth per user Number of Internet hosts Growth of IP Traffic Enterprise end-points and devices

Needs … High availability Global uniform coverage Secure platform Per user profile/application treatment Flexibility/agility Simplicity


But how about Enterprise WAN?Becoming a bottleneck for transformation

11

Poor Application Performance

Patchy ConnectionSlow Delivery

Connectivity expensive in certain locations

Operation complexity

Network Outages

Security RisksLack of VisibilityDegraded End User Experience Higher Cost

Scattered Appliances

Lack of resources

Lack of expertise


Enterprise WAN as the enabler of transformation

12

Enterprise WAN can become…

Agile FlexibleCost effectivePart of the IT eco-system

Right technology +infrastructure + support


So what technology should we use?

13

NTT believe

“NFV”is one of the answers

Enterprise WAN can become theENABLER instead of an OBSTACLE for

Enterprise Transformation


What NFV enables us to do…

14

TraditionalBranch Office

ICT Closet

TraditionalBranch Office

ICT Closet

Antivirus

URL FilteringIPSAuthentication

Firewall

ApplicationAcceleration

WAN Router

Asset-LightBranch OfficeAsset-Light

Branch Office

AgilityAgility

FlexibilityFlexibility

CostEfficiency

CostEfficiency

SDN & NFVPlatformIP-VPN

InternetCloud

IP-VPNInternet

Cloud


Simplify the complexity – Portal Driven

NFV SwitchNFV Switch

SDNPlatform

Enterprise networkInternet Internet

Portal

DifferentNetwork Functions

virtualized within oneplatform

15


Use Case – European Chemical Company

16

Our Solution1. Fully managed IT

• Application Management• DC / Cloud Service / Hosting• Hybrid network of MPLS and

cheap internet access• On-demand, scalable Cloud-

based SSL VPN• Cloud-based Secure Web

Gateway

2. NTT Group Companies solving allsystem integration issues -customer intimacy

3. Professional, high quality service

Results & Benefits1. Optimized cost and TCO

(Reduced approx. 40% from theoriginal cost)

2. Professional support for cloud services– Less operational issues; fasterresolution in case of trouble

3. Flexibility and agile solution for mobileaccess and internet offload –improved speed and end-usersatisfaction

4. One single global provider – Savedtime to coordinate differentproviders; focus on core business

Pain Points1. High cost

2. Missing flexibility to easily respondto business needs

3. Unhappy with the existingoperations

4. Did not feel customer intimacy

• Employees: 500+• Footprint: Global business operating in over 20 countries with

11 manufacturing and technology centers• One of the one the world's largest company specializing in

chemical

CustomerOverview


Our TransformationJourney


The Service Provider Transformation

18

How were we able to get here in one year?

Recipe for TransformationMain ingredients: Standardization & Automation

Solution vs Product Process & Systems People & Knowledge Customer Education& a dash of… Mind-set Changing Driver

Taskforce


Standardization & AutomationThe old way

Customer

Sales

The new way

CustomerEngineer

Operator

Standardized functions andfeatures

Self-controlled

Customized solutions tailored tothe customer needs

Multiple support personnelrequiring specific knowledge

Portal

Sales


A Need for a Standardized EnvironmentWithout discipline you have customized implementations

Happy customers but maybe not a happy serviceprovider… as a customized implementation often means:

• Configurations on a per-customer basis• Special processes supported by people; limited people with

knowledge; people-heavy solution; high costs

New products require standardization in the offeringwhich also means standardization of

• Processes• Data models• Equipment/modules, configurations


Standardization of Past Solutions Analysis of services provided to current customers to find commonalities Methodology

approx 80/20 rule Profitability New customers & expansion of business

Challenges “Customized” Solution Tied to a methodology not the service Migrations… get it right the first time around!

FeatureCustomer

ACustomer

BCustomer

C…Customer

…Customer

…New

Service?

Feature 1 In use - In use In use In use YesFeature 2 - - In use - - NoFeature 3 - - In use In use In use Not yetFeature x In use In use In use In use - Yes

Sample Matrix Used to Identify whichfeatures to Standardize


Revamp of the Standard Process & SystemsProcess:• SOW and process handoffs – minimize the teams, create broader SOWs

for a smoother/shorter end-end processSystems:• Portal development - start by showing milestones/progress in the portal

– next steps should include initiating the process from the portal• Data flow-thru – single systems as much as possible

KPIs:Before After

# of steps in the process

# of tasks automated

# of published milestones


Front-Loading & Shift in ResponsibilitiesAs more tasks become automated, less effort is required on the back-

end but more effort is required on the front end – sales andproduct/technical specialists

Customer Sales

Service Delivery

Engineers

Sales

The old way

The new way

Customer Sales

Service Delivery

Engineers

Sales

automation


Strong Partnerships

Goal – create synergy and provide the best service that isrelevant to our customers by integrating the best of both

companies, be profitable and prepare us for the challenges andopportunities that lie ahead…

+

Became part of the NTT Communications Family in 2013


Formation to DriveA cross-functional team is required to drive such a transformation

– a cross-functional TASKFORCE was formed

Product Managers Systems Service Delivery OperationsSales

Cross-Functional TASKFORCE


The concept we are aiming for…

26

Automatically discover and assess infrastructure and appliances Complete visibility to the whole infrastructure and systems Automatic provisioning of new services

Our transformation continues!

Cloud/Internet

Network/DCs

CustomerPremises

Enterprise WAN

Internet

BranchOffice

HeadOffice

Data Center

Cloud

NFVSwitch

NFVSwitch

NFVSwitch

NFVSwitch

NFVSwitch

NFVSwitch

ESI Pop

ESI Pop

ES Edge ES Edge

ESI Central controller

Elastic Service Infrastructure


Summary…

27

NTT was able to provide a full-line up of next-generationCloud Based Network services globally within one year –the product is transforming our enterprise customersexpectation to the WAN

As a Service provider, we are transforming ourselves toprepare for the next next-generation services Standardization & discipline to stay within the

framework are key Transformation of the organization has also been key to

support these new services


Thank you

Kayo Ito, [email protected], Network ServicesNTT Communications

transformation to cloud-based networking enabled by nfv · 3. professional, high quality service...

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